ISS

Earnings Release • May 21, 2015

Robust profitable growth

Copenhagen, 2015-05-21 08:01 CEST (GLOBE NEWSWIRE) --
No. 12/2015

ISS (ISS.CO, ISS DC), one of the world’s leading facility services companies,
announces its interim financial report for the first three months of 2015:

Highlights

-- Robust organic revenue growth of 3.1% (Q4 2014: 2.7%).
-- Improved operating margin of 4.4% (Q1 2014: 4.3%).
-- Strong cash conversion over the last twelve months of 97% (Q4 2014: 98%).
-- Profit before goodwill impairment and amortisation/impairment of brands and
customer contracts increased to DKK 426 million (Q1 2014: DKK 73 million).
-- Financial expenses, net, decreased to DKK 216 million (Q1 2014: DKK 557
million) and included a DKK 54 million, non-cash, net loss on foreign
exchange.
-- Net profit increased to DKK 297 million compared to a loss of DKK 33
million in Q1 2014.
-- Revenue generated from IFS increased 9% in local currency, and represent
32% of Group revenue (FY 2014: 31%). Significant IFS contract wins in Q1
included UBS in the United Kingdom, Huawei in China and a retender and
expansion with RWE in the Czech Republic.
-- Revenue from Global Corporate Clients represented 10% of Group revenue (FY
2014: 9%), an increase of 6% in local currencies.
-- The strategic initiatives including customer segmentation, organisational
structure and excellence projects such as our procurement programme are
progressing according to plans and supporting margin improvement.
-- The 2015 outlook for organic growth, operating margin and cash conversion
remains unchanged.

Jeff Gravenhorst, Group CEO, ISS A/S, said:

“We have had a good start to the year with continued positive momentum on all
key parameters. Organic growth increased, driven in particular by strong
customer demand for our integrated solutions. New integrated contract wins
include UBS (the United Kingdom), Huawei (China), and an expansion with RWE
(the Czech Republic). Thanks to our strategic initiatives, our operating
margins continue to improve, and cash conversion remains high. We maintain our
outlook for the full year result.”

Lord Allen of Kensington Kt CBE Jeff Gravenhorst
Chairman Group CEO

Conference call details

A conference call will be held on 21 May 2015 at 10:00 CET. Presentation
material will be available online prior to the conference call.

Dial-in details:

Denmark: +45 354 455 80
UK: +44 203 364 53 74
USA: +1 855 753 22 30

Link: http://edge.media-server.com/m/p/whe8kjvw

For media enquiries
Manuel Vigilius, Global Media Relations Manager, +45 3817 6404

For investor enquiries
Nicholas Ward, Head of Group Investor Relations, +45 3817 6251
Martin Kjær Hansen, Investor Relations Manager, +45 3817 6431

About ISS The ISS Group was founded in Copenhagen in 1901 and has grown to
become one of the world’s leading Facility Services companies. ISS offers a
wide range of services such as: Cleaning, Catering, Security, Property and
Support Services as well as Facility Management. Global revenue amounted to DKK
74.1 billion in 2014 and ISS has approximately 510,000 employees and activities
in more than 75 countries across Europe, Asia, North America, Latin America and
Pacific, serving thousands of both public and private sector customers. For
more information on the ISS Group, visit www.issworld.com.

ISS A/S, ISIN DK 0060542181,
ISS Global A/S, ISIN XS1145526585, ISIN XS1145526825